JPMorgan Chase named Jennifer Piepszak its chief operating officer, effective immediately, the bank said Tuesday in a press release.
She replaces Daniel Pinto, the bank’s longtime No. 2 executive, who will retire at the end of 2026, the bank said.
But with the new role, Piepszak is effectively taking herself out of the running to succeed Jamie Dimon as CEO.
“Jenn has made clear her preference for a senior operating role working closely with Jamie and in support of the leadership team going forward and said she does not want to be considered for the CEO position at this time,” spokesman Joe Evangelisti told CNBC. “She is deeply committed to the future of the company and our team and wants to help in any way she can.”
Wells Fargo and Piper Sandler analysts each emphasized the “at this time” portion of that statement in notes to clients Tuesday. Piper Sandler said the caveat made Tuesday’s transition less clear, while Wells Fargo asserted that Piepszak should not be counted out of the CEO race.
Tuesday’s moves raised the profile of Doug Petno, JPMorgan’s co-head of global banking. Petno will succeed Piepszak as co-CEO of JPMorgan’s commercial and investment bank, alongside Troy Rohrbaugh, the bank said. That effectively puts Petno in the race to succeed Dimon.
John Simmons, JPMorgan’s head of commercial banking, will succeed Petno as co-head of global banking, alongside Filippo Gori, the bank said.
Piepszak and Marianne Lake had been front-runners to become the next CEO of the nation’s largest bank ever since a 2021 executive shuffle made them co-heads of consumer and community banking for JPMorgan. Another shuffle last January left Lake solely in charge of that unit and shifted Piepszak to the commercial and investment bank, which she led with Rohrbaugh.
JPMorgan specified Tuesday that Lake’s role would not change, nor would that of asset and wealth management chief Mary Erdoes, another of the bank’s high-profile women executives.
Pinto, meanwhile, will relinquish his responsibilities as president and COO by June 30 and move into a vice chair role with the bank.
“Daniel is a first-class person who I am proud to call a friend, and he has made a truly significant impact on our company for more than 40 years,” Dimon said in a statement Tuesday. “[He’s] done a truly exceptional job in every role he has played at our firm. I can’t thank him enough for his partnership and outstanding stewardship as President and COO, and for building the best, most respected Corporate & Investment Bank in the world.”
Tuesday’s moves leave unanswered the central question: When will Dimon retire? The 68-year-old CEO, who has led JPMorgan for 19 years, would ritually tell analysts, when asked: “Five years.” That retort changed slightly last May, when Dimon said the timetable “isn’t five years anymore.”
“Jamie Dimon is a tough act to follow, even though he's done a great job shuffling top executives around to gain more experience," David Wagner, a portfolio manager at Aptus Capital Advisors, told Reuters. "But, when a CEO is at the helm for so long, many of his proteges get older and would prefer to ride off into the sunset than take on a position that they're likely expected to [hold] for a decade."
Pinto, who began his career at one of JPMorgan’s predecessors in 1983, had been seen as the bank’s go-to executive in case of emergency. He and now-retired co-president Gordon Smith ran JPMorgan in March 2020 as Dimon recovered from heart surgery.
In a statement, Pinto said he is “very proud of the team here at JPMorgan Chase, the company we have built and all we have achieved along the way. I will continue to support our company in any way I can and am excited about the firm’s bright future.”
But Tuesday’s shuffle undoubtedly points the spotlight to JPMorgan’s other players.
“We are fortunate to have developed an exceptional team of world-class executives, each of whom has contributed significantly to the success of our company,” Dimon said Tuesday. “I want to congratulate Jennifer, Doug and John on their expanded roles. I have never been more proud and optimistic about our company, in large part because of the extraordinary efforts of these leaders and our other members of the Operating Committee and executive team.
